Pepco Holdings

Pepco Holdings, Inc. (PHI), or Potomac Electric Power Company, is a diversified energy company that, through its operating subsidiaries, is engaged primarily in two businesses:

1. The distribution, transmission and default supply of electricity and the delivery and supply of natural gas (Power Delivery), conducted through the following regulated public utility companies:


 * Potomac Electric Power Company (Pepco), which was incorporated in Washington, D.C. in 1896 and became a domestic Virginia corporation in 1949,


 * Delmarva Power & Light Company (DPL), which was incorporated in Delaware in 1909 and became a domestic Virginia corporation in 1979, and


 * Atlantic City Electric Company (ACE), which was incorporated in New Jersey in 1924.

2. Competitive energy generation, marketing and supply (Competitive Energy) conducted through subsidiaries of Conectiv Energy Holding Company (collectively Conectiv Energy) and Pepco Energy Services, Inc. and its subsidiaries (collectively Pepco Energy Services).

PHI Group engages in M&A advisory services, real estate development, mining, and energy. PHI Energy Corporation was founded in 2005 as Providential Oil & Gas, Inc., and has been engaged in oil and gas joint ventures with various U.S. companies in Texas and California, and is a majority owned subsidiary of AXN Group, a global investor in oil & gas, forestry/timber, and mining.

PHI was incorporated as a holding company in February 2001 for the purpose of effecting the acquisition of Conectiv Power Delivery. The acquisition was completed on August 1, 2002 at which time Pepco and Conectiv became wholly owned subsidiaries of PHI. Conectiv itself had been formed in 1998 to be the holding company of Delmarva Power & Light Company and Atlantic City Electric Company. In 2005, PHI resumed the use of the DPL and ACE entity names for purposes of operations, with the name Conectiv Energy restricted for PHI's energy production facilities.

Pepco is engaged in the transmission, distribution and default supply of electricity in Washington, D.C. and major portions of Prince George’s County and Montgomery County in suburban Maryland. Pepco’s service territory covers approximately 640 square miles and has a population of approximately 2.1 million. As of December 31, 2008, Pepco delivered electricity to 767,000 customers (of which 247,000 were located in the District of Columbia and 520,000 were located in Maryland). PHI ranked 254 on the 2009 Fortune 1000, a list of American companies ranked by gross revenue. Their revenues were $10.7 million.

Existing Coal Plants
PHI subsidiary Conectiv Energy has 19 electric generating stations. Most run on gas, but the following run on coal:

Coal Mines
In April 2011, PHI Energy - a minority owned subsidiary of PHI Group - said it had signed an asset purchase agreement to acquire coal mine assets from PT Dian Anugrah Pratama (DAP), an Indonesian corporation with headquarters in Jakarta. PHI Energy Corporation will acquire an estimated mineable coal reserve of 10,000,000 metric tons located in an area of approximately 423 hectares, at Kecamatan Kapur IX, Kabupaten Lima Puluh Kota, Propinsi Sumatera Barat, Indonesia, from DAP in exchange for 20,000,000 shares of common stock of PHI Energy Corporation valued at $1.00 per share.

On May 31, 2011, PHI Energy announced it had closed the coal asset purchase agreement with PT DAP. PHI Energy issued promissory notes for US $3,000,000 and 47 million shares of common stock of the company, valued at $1.00 per share, in exchange for total estimated mineable coal reserves of 33,000,000 metric tons located in West Sumatra, Kampar and South Kalimantan, Indonesia. The pre-production estimated value of the reserves is approximately US $85 million. Allen Wu, Chairman of PEC, said, "The acquisition of DAP marks a milestone in implementing PEC's vision to own and operate a global basket of coal mines strategically located in Indonesia, Colombia, Canada, South Africa, Philippines and Mongolia. We intend to balance a portfolio with producing mines with proven reserves with greenfield projects."

Contact details
Pepco Holdings, Inc. 701 Ninth Street N.W. Washington, DC 20068 Phone: (202) 872-2000 Website: http://www.pepcoholdings.com/

Related SourceWatch Articles

 * Existing U.S. Coal Plants
 * Delaware and coal
 * District of Columbia and coal
 * Maryland and coal
 * New Jersey and coal
 * United States and coal
 * Global warming